Digg.com Sold To Betaworks For $500,000
New submitter MyFirstNameIsPaul writes "The once popular social news website Digg.com, which received $45 million in funding, is being sold to to Betaworks for $500,000. From the article: 'Betaworks is acquiring the Digg brand, website, and technology, but not its employees. Digg will be folded into News.me, Betaworks' social news aggregator. This is not the outcome people expected for Digg. In 2008, Google was reportedly set to buy it for $200 million.'"
Update: 07/13 12:26 GMT by S : Looks like real number is about $16 million.
This is still 500,000 times what Newsweek sold for. So I guess it means failure in digital is still worth more than a failed dead tree product.
All social media sites can expect to share this fate soon enough with the exceptions of facebook, twitter and a couple more than will survive for a bit. The whole model depends on scaling up to 'too big to fail' before the initial money runs out. And of course 'too big to fail' also fails eventually, see myspace and any number of other dead and forgotten sites that had their fifteen minutes.
The only way to make money in this game is to piss off the users as you slap them in the face with the reality that they aren't customers.... they are the product. Yet the sole reason a social media site exists is because users want to be there, the defining feature is there is little created/curated content on a social media site, it is all user created. And since users aren't really tied to a site they are free to be fickle and jump to the next shiny thing they can share links to cat videos on. Which all means it is fairly easy to get a crapload of users, just give em free services; making a living giving away stuff to zillions of users is still a hard and mostly unsolved problem. Google is making money giving stuff away, anyone else?
Democrat delenda est
This would have been first post, but it was a missed opportunity.
If I remember correctly, wasn't Digg supposed to be the new Slashdot without the hardcore Geek Cred? Didn't Kevin Rose speak directly to CmdrTaco about the failings of Slashdot? Kevin doesn't seem that bad a guy, actually, but he had two major failings that I can see:
- Not selling at the top of the market, which is usually hard to gauge anyway, (and didn't he leave some time ago?)
and the most important failing:
- Dumping Sarah Lane so that she could later travel the world on Honeymoon and get a brain eating parasite.
Better Days to them both.
What does that mean for the valuation of /.?
It's sad that digg was supposed to be the successor to slashdot, and look at their value now, almost next to nothing.
I see slashdot going down that same path, it is so obvious to any long time reader. These sites started out with so much promise, but bad leadership and decisions have led them to oblivion.
So long digg, and so long slashdot you are next.
I think everyone either went to Reddit, or Pharyngula.
Its not pointless when it points out the principal reason Digg is done.
Virtually Nobody saw any good reason to use that site, virtually nobody goes there for a recommendation on what they should read about. It failed precisely because the vast majority shared Reboot246's opinion.
Sig Battery depleted. Reverting to safe mode.
This is why I won't buy stock in fazebook.
A feeling of having made the same mistake before: Deja Foobar
laughs best.
and I'm sure I speak for more than just myself when I say that. The first year or two of Digg's existence were actually alright, when interesting articles were actually posted on the front page. It degraded rather quickly, however, into a reeeeeally shitty aggregator. When I finally stopped going, it was almost completely top-ten lists and links to "funny" pictures.
Most social comment-driven sites that employ a user-activated reward and punishment system eventually degenerate into boring, politically correct bully pulpits where the choir preaches only to the choir while everybody with a brain bails out. The writing is on the wall. Can you Digg it, Slashdot?
Although /. page layout doesn't place highly-rated stories first. The calendar does that.
Slashdot's moderation seems to be slowing the decline into group-think but I still feel like I'm falling when I read /.comments -- which is getting less often.
Get Off My Lawn! (Grumble, grumble)
What actually happened to Digg?
The last time I went there was a couple of weeks before the DVD key incident, and then a few times couple of weeks after. Everything seemed active enough back then.
That -was- years ago, but what changed in the meantime?
Did it just fade away?
Digg was good for social media. People would submit stories, and then the cool ones would come to the top. Apparently a minor problem arose with power users who could spam their friends with messages,"Digg this cuz ur my friend", and a lot of them would. These power users eventually started getting corporate sponsor to astroturf, and their friends were oblivious so they still got Diggs. The actual user base didn't have much of a problem with this as you could read user names and just ignore them. I think the proper solution was to allow people to permanently ignore user posts, then power user spam would have been fixed.
Where Digg went wrong was,"We gotta beat these power users to their own game!" So they made it so users could no longer submit stories. And then your entire feed was all corporate sponsored advertising. This is equivalent of turning prime time television into one giant informercial. I know nothing of value is lost there, but in social media, this is a group of people moderating news and it was pretty valuable until they killed it thinking we're all bunch of sheep who will just sit there and read advertisements all day.
I'm glad Digg.com is dead. I just hope Reddit.com doesn't pull something stupid too.
God spoke to me
Past tense even.
Wow. With a domain name like that how can they lose?
At the end of the day I seem to keep returning to Facebook (family) Twitter (news and stuff that matters), and to a lesser extent Slashdot and a handful of RSS feeds.
LinkedIn? Digg? Pictionary.. uh, I mean Pinterest? Flattr? Etc Etc Etc?
Or maybe I'm just waiting for the Next Big Thing. Which will likely require 3D glasses.
Three Squirrels
Will we see Digg's new owners taking up arms against Reddits, and all the other hundreds of sites that 'copied' their idea of user-rated submissions based on a thumbs up / thumbs down or "Like" / "Hate" system?
Perhaps Facebook could be a target. Digg's "Digg" button did predate Facebook's "Like" button, and FB's "Like" functionality can be construed as a shameless copy of Digg's Digg function; granted FB didn't copy the counter, and Digg didn't provide a list of users that liked the article, or publish lists of articles liked by a user.
Digg has dug themselves a grave with the new advertising format. Maybe now they will go away.
I seem to recall that Rose made Digg because he felt there was too much elitism on Slashdot.
I guess elitism works!
Vivo El Taco!!!
"Murderer? Well, that's a harsh word. I prefer to think of myself as a Mortality Technician."
A similar fate awaits other social network websites, sooner than later. Social networking websites are like malls that after a few years start having a stinky smell, you know those malls you've seen them and been there.
TOP DSLR Cameras Reviews of the top DSLRs
Where's Pud when you need him....
The griefers won. There's a lesson there for slashdot.
Help stamp out iliturcy.
Reddit is already dead from a usability standpoint. The largest subreddits are unrefutably crap, and the overall site is overrun by the hordes of idiots who infect the few decent, smaller subreddits. Unfortunately, the site has degenerated into a massive karmawhoring party and it is no longer easy to find quality links in the sea of regurgitated memes, 37-panel ragecomics about dropping a piece of toast, and Facebook screenshots. I never really cared for Digg, but did frequent Reddit from 2008 to 2010 before I could no longer tolerate the painfully obvious downward trend in quality. A part of me hopes Conde Nast will just kill it.
Now, I just trawl Slashdot and wait for a good catch. (The Slashdot moderation system is imperfect, but superior to the ones used by Digg and Reddit.) The NetworkWorld-esqe spam posts are annoying, but the accompanying angry comments that eviscerate the stupid headlines are amusing. Overall, the signal-to-noise ratio is higher here -- I particularly enjoyed the recent lighthearted threads about C: 1, 2.
I think there's a BIG take-home to be had from the demise of Digg. Listen to your users.
They REALLY screwed up with Digg 4, and completely dismissed the feedback from their users out of hand.
Had they actually used their brains and done proper testing beforehand, instead of rushing half-baked shit into production, they might've done far better by now.
Did I mention that it's a really good idea to listen to your users, and not walk around with your head up your arse.
"Pride goeth before destruction, and an haughty spirit before a fall" -- Proverbs 16:18.
http://techcrunch.com/2012/07/12/betaworks-acquires-digg/
Okay, I got this link from Fark. Shoot me.
They suffered from a really shit moderation system too, which encouraged groupthink to a far greater extent than Slashdot. Slashdot, imho, is a scalable, robust moderation system done right.
Digg was a sad joke in comparison, where simply having the "wrong" (e.g. liberal) opinion would have you Buried into a smoking crater.
Another problem was sad, basement-dwelling "power Diggers" posting lowest-common-denominator crap all the time. The Dig/Bury model favours quick, cheap laughs at the expense of thoughtful debate.
Although it has to be said that I got into some REALLY fun and entertaining fights with some utterly loopy American and Chinese rightwing extremists. Digg, given it's tendency to lower the IQ of everything it touches, attracted those kinds of people like flies to shit. But after the while, the aggro and stupidity got to me, and I quit my Digg habit.
Can't say I'm sad to see it getting cut up for scrap.
I stopped going to digg when it started running too many political stories. I don't recall when but it was before the v4 fiasco.
I've mentioned several times the past years that Digg, which turned in a total crapfest back then, probably would be sold to Yahoo! soonish so they could properly kill it. I was wrong with the customer, but probably not wrong about the death of Digg. The past months it has been flooded by spammers and reporting them is pointless (nothing is done). Good luck, Betaworks, with cleaning up the mess.
Perl Programmer for hire
Kevin Rose did everything he could to drive away long-time, loyal users, first by killing off any social networking aspect and then by revamping the entire site so that it didn't resemble the original or have any of the functionality that made it popular. It was idiocy gone wild. Personally, I think Betaworks just got ripped off big time. Digg's been going down the drain for two years now, and nothing's going to revive it at his point. Why do you think Rose took a job with Google?
Sounds a bit like a certain once-dominant Linux desktop...
There's no -1 for "I don't get it."
Did the half mil include the Digg Girl?
And yet Reddit is extremely popular
Comment removed based on user account deletion
Come on, a site where people post stories and they get voted on. What value does it add for people using it? Where's the stickiness?. $200 million would have been a joke. That's the problem with these types of sites, they get uber hyped up then they crash. I'm surprised that it wasn't killed sooner. What's next, a site for voting on the best video of paint drying? Digg epitomises what's bad about the Valley, lame idea's overly hyped up - and clueless VC's throwing money at anything that moves.
There was a time in which the valley actually produced something useful - and was staffed by really really smart people, not people who think that they're smart. Where are the Dave Packard's etc... of this world?
I can digg it!
Comment removed based on user account deletion
I used it for the first time two days ago and thought, "this is worse than reddit," of which I'm a new user as well. I checked them out because /. is dying. Also breezed through 4chan for once, what a shit hole. Since then I've been looking for a decent community that aggregates real news. No luck. Thinking of building my own. Nonetheless, we are certainly at an impasse.
I object to power without constructive purpose. --Spock
I was a digg user from a little bit after that time as well. It makes it very clear just how little most of the people commenting on this story know about it. Digg's been a vastly changing culture and platform over the years. It went from "meh" to ok to good and then a slow slide to kinda shitty before Rose totally stabbed the remaining users in the back. Looking at digg now is like going to detroit now and thinking you can judge its past by the current rubble and ruin.
Everything will be taken away from you.
I mean it's already been dugg to death.
HA! HA! You're posting Fark links on Slashdot. Your dog wants steak. The Sun is there.
\ Aisle seat please.
\\ Its a street light!
\\\ Summon Bevots!
\\\\ Slashdot slashies.
I can't think of any more classic Fark memes. This comment is useless without pics.
Slow Down Cowboy! It's been 1 hour, 47 minutes since you last successfully posted a comment
Newsweek will also be around longer than Digg.
I am really doubtful of that, Newsweek will cease to exist after the election as at this point it is solely a propaganda rag that will lack use after the election is finished (no matter who wins).
Meanwhile Digg will continue to sit there, possibly mismanaged but carrying on as it has been. They could probably simply leave it running as-is indefinitely and make money for quite some time off referrals and ad revenue.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
The creators of reedit admitted this a month or so ago, it was on Slashdot and elsewhere.
No I will not google it for you, lazy bastard.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
Digg had a bad habit of deleting the accounts of people who disagreed (politely even) with leftist politics in general and the homosexual lifestyle in particular by labeling all such disagreement "hate speech". They censored themselves out of relevance.
I deleted my own account with them several years ago due to my disgust with this behavior.
It was swamped with poor stories not worth ready, and the ones worth reading were buried in this dross. The voting system became rigged, and politicized, since its easy to hire a few cheep students to vote up stories you want, and vote up a lot of dross when stories you don't want appear to swamp it.
By comparison the design is good compared to slashdot, yet slashdot isn't dead because trolls can't swamp it so easily.
Most social comment-driven sites that employ a user-activated reward and punishment system eventually degenerate into boring, politically correct bully pulpits where the choir preaches only to the choir while everybody with a brain bails out.
But this has not happened to Slashdot.
The reason why is the moderation system, which some people dislike but I think works about as well as any moderation system can.
The proof is in really hotly debated topics - you can see arguments from BOTH sides of a hot issue being moderated to +5, even if a lot of down-moderation is also applied. That's the key that tells you the system is working to keep people on all sides of an issue engaged, and makes the reading much more interesting as you have more of a real debate and much less a "pulpit" as you said.
That is why Slashdot endures even as other things like Digg float away...
"There is more worth loving than we have strength to love." - Brian Jay Stanley
He's one of the people responsible for killing digg, but scamming the system that "dug up" the stories. Between that, Kevin Rose's ego, the V4 design, the trolling, political bias of stories "dug up", it drove a lot of people away. When I saw they were sold for only 500k, you have to know those that stood to make a huge amount of money when they were suppose to be worth 200 million have to be just slapping their heads doing the Homer Simpson DOOHHAHH sound.
Since then I've been looking for a decent community that aggregates real news.
Twitter.
I follow the Economist, (the Onion), numerous good tech sites and writers, as well as friends I respect. Lots of good news aggregation if your twitter feed is more than "I put on a redshirt. Oh no Captain Kirk!"
http://cryptome.org/2012/07/gent-forum-spies.htm
http://pastebin.com/irj4Fyd5
Sections Overview:
1. COINTELPRO Techniques for dilution, misdirection and control of a internet forum
2. Twenty-Five Rules of Disinformation
3. Eight Traits of the Disinformationalist
4. How to Spot a Spy (Cointelpro Agent)
5. Seventeen Techniques for Truth Suppression
is people. Digg is crap because most people who post are idiots.
There needs to be a grown-up table, and the kids need to sit in the kitchen and be seen and not heard (from), just like the old days. :)
I remember when Digg was supposed to be the hip new thing and /. was for dinosaurs. Then I went to Digg to see what the fuss was about and found it to be full of Lolcats. I actually tried submitting a couple of stories of actual events to check what happened and found them to be buried in seconds while the Lolcats kept being on the front pages. So I stopped using the site. I hardly find it surprising it eventually failed.
Selecting news sources? That is way too much work. I hate Twatter. But yeah the Economist and the Onion are good sites. The Onion is prophetic even (the Gillette parody being one case that comes to mind).
You could try Hacker News. Its unofficial tagline is "this isn't Reddit".
Dilbert RSS feed
The proof is in really hotly debated topics - you can see arguments from BOTH sides of a hot issue being moderated to +5, even if a lot of down-moderation is also applied. That's the key that tells you the system is working to keep people on all sides of an issue engaged, and makes the reading much more interesting as you have more of a real debate and much less a "pulpit" as you said.
It is true that you often see arguments from both sides modded up but I wouldn't draw too many conclusions from that. There are many topics that aren't debated essentially at all because the consensus / group think has already been reached. That isn't bad thing in itself (Not every topic should be debated. We should have consensus not to support genocides, for example...) but the point is that for any hot topic we debate there is a consensus about a dozen more that we don't debate and thus us having some debated issues doesn't prove much about variation.
Honestly though, I think that the biggest problem with /. moderation system is that mods use "-1 Redundant" and "-1 Offtopic" mods far too little. The most heated topics, like the one about constitutionality of Obamacare, have something like 2.5k messages. There is absolutely no way that most of those messages added to the discussion but most were just repeating the same arguments that others had already made... but weren't modded redundant. Part of the problem is that the same exact things were debated in many places, which is due to mods not being willing to use the offtopic mod when one thread of posts strays away from the topic of that thread. You can look at nearly any /. story and in the first thread there are many people who "reply" to the first poster or two just to get their comment higher even though they in no way relate to what the parent had said. This all forces people to spend a lot more time reading the same arguments over and over again and potentially missing some good ones due to the whole discussion about the subtopic not being in the same place.
It is true that you often see arguments from both sides modded up but I wouldn't draw too many conclusions from that.
But in every other moderation system I have seen, that never happens. On Digg for example, you had extreme swings hard against one side or the other, with anything the predominant mods disagreeing with for that story being buried hard. That is why I think you can in fact draw conclusions from Slashdot examples, because it works every time where other systems repeatedly fail.
Honestly though, I think that the biggest problem with /. moderation system is that mods use "-1 Redundant" and "-1 Offtopic" mods far too little.
I disagree, I think the reason why /. moderation works is exactly because of this point - by convention, you are supposed to use negative moderation sparingly. I use it only for the worst trolls, and never for people I simply disagree with. Elevating the good as predominant moderation is the best strategy, even if there's a lot of trek generally good stuff floats up.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
I say 'Good riddance'. I was a digg user for a few years, but the constant french-bashing, europe-bashing (even on unrelated topics) drove me away. Nothing as informative as /., or say, Engadget on tech news, and political discussions were more like a Quake IV arena than articulated, educated exchanges of opinions.
Slashdot has so far outlived Kuro5hin and Digg, as well as countless sites you can't even remember, and it'll outlive Reddit and whatever comes next, too.
Slashdot is the new digg. Long live Slashdigg.
Not only that, but the comments were consistently of TERRIBLE quality, even on tech and gaming stories (and even worse when they branched out). I couldn't believe it back in the day when people were actually calling Digg a "Slashdot killer." But people are saying the same shit about Reedit today, and that's just as laughable.
What political party do you join when you don't like Bible-thumpers *or* hippies?
Maybe not elitism in itself, but focus. Other examples: science journals making a profit from paywalls, where general newspapers fail; Vi(m) continuing to flourish despite an interface more unfriendly that a word processor from the DOS era; the Soyuz outlasting the more technologically advanced Space Shuttle.
If there's a lesson to be learned, it's that if you can't be the biggest brontosaurus in the jungle (a big web site), become a bird or a small but agile furry little creature (a focused web site).
Digg pretty much just floated the most popular stories like Google News. I want to read the quirky nerd stuff. Slashdot and Wired with human editors are much better for that.
I don't read Newsweek, but doesn't it do actual journalism
It used to. Now it does not, it simply re-iterates talking points from Democrats and AP stories. It is a shadow of what it used to be.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
How is that being proactive about where I am getting my news? I am just selecting different keywords or whatever in the same service! Plus it takes me about as much effort to memorize a keyword as to memorize an URL (which can also be bookmarked).
I stopped reading digg when I learned that their staff were rigging the votes.
Casteism